WELSH SECRETARY Jo Stevens has announced a £13 million funding package to support workers, families, and businesses affected by the closure of Tata Steel’s blast furnaces. This marks her first address to the Welsh Labour Conference since Labour’s landslide General Election victory in July.
The funding is part of a broader £26.5 million commitment by the UK Labour Government, including non-repayable grants of up to £10,000 to help workers establish new businesses. The £13 million fund is the first tranche of Labour’s £80 million pledge, confirmed in the Autumn Budget, to fully support the Transition Board and affected communities.
Labour delivers amid criticism of past promises
The funding aims to provide critical relief following the Conservative government’s failure to deliver on its £80 million commitment to Port Talbot workers. Labour’s swift action in just four months contrasts with years of unfulfilled Conservative promises.
Jo Stevens also announced two further support schemes, totaling £13 million, for businesses in the Port Talbot area and Tata’s supply chain. These were introduced following her third meeting as chair of the Transition Board earlier this week.
Speaking ahead of her announcement, Jo Stevens said:
“In October last year, the Tories promised £80 million for Port Talbot workers and businesses. Nine months later, not a single penny had been delivered.
“Now we know why – the £80 million was never there. It was one of a long list of unfunded spending commitments – part of the £22 billion black hole.
“Today I am announcing a £13 million fund to support existing and new businesses in Port Talbot and across our steel communities. And Labour’s first Budget confirmed that £80 million in full.
“Gone are the days when a UK government doesn’t listen to Wales. With Eluned and I – a partnership in power – Wales’s voice is strong once again.”
Tory response highlights concerns
The Conservatives have criticized Labour’s approach, arguing that the £13 million fund falls short of the support needed to address the scale of the crisis.
Former Business Secretary Kemi Badenoch said their government’s £80 million pledge was part of a comprehensive plan to safeguard the steel industry, which would have protected 5,000 jobs and thousands more in the wider supply chain.
Badenoch added: “Any delay in implementing support measures risks jeopardizing livelihoods, losing a key national industry, and ultimately costing taxpayers more in the long run.”
Conservative officials have also accused Labour of raising “false hopes” about saving jobs at Port Talbot, warning that the party’s promises may create further uncertainty for the steel industry and its workers.
The funding announcement comes as Tata Steel transitions to electric arc furnaces at Port Talbot in a bid to reduce carbon emissions. The move, supported by £500 million from the UK government, is expected to result in significant job losses, with estimates suggesting up to 2,800 roles will be affected.
The Labour government has been negotiating improved redundancy terms for impacted workers and remains committed to supporting a greener future for the steel industry.
